Buying my first home

[Adonte Lipsconb]

Hello Everyone 

I'm a new investor and looking to buy my first SFH for me and my family. This home will also be my first rental property when I move to North Carolina in about 6 months to a year. Is this a good idea.

[Tommy F.]

@Adonte Lipsconb It all depends. Your question without details leaves a lot to the imagination so I'll respond based on assumptions. I assume you will get a conventional loan to finance the Florida house and as such you will be required by the lender to attest to your intention to live in the house for at least a year. Lender treat an owner-occupied loan much different than an investor loan, the mortgage rates will differ, the down payments will differ, and other underwriting criteria may differ. You already know you're moving to North Carolina in six months to a year so you could be setting-up yourself to be dishonest with the lender. What will determine the timing of your move? Moreover, what will be your housing arrangements in NC? Own or rent? If you intend to buy another house in NC you will very likely NOT be able to factor into your income the rent from the Florida house. Most lenders want to see a seasoned landlord (two years experience) before they consider the rent as steady income for underwriting a new loan. Next, what may be a good deal for an owner-occupied in Florida may not be good as an income property. You will have to do the math and the math will tell you what to do.  Good luck!